The Niger Delta region faces a complex security crisis rooted in decades of environmental degradation and the resultant resource-driven violence. Traditional state-centric approaches to peacebuilding have largely failed to address the core problem of ecological marginalization, which pushes large segments of the marginalized youth population into militancy and illicit economies as a response to profound grievance and environmental scarcity. This paper examines a critical, though underexplored, solution: the emergence and efficacy of youth-led eco-innovation and environmental entrepreneurship as proactive mechanisms for conflict de-escalation and peace advocacy. This study argues that youth-led initiatives, such as sustainable aquaculture, waste-to-wealth enterprises and bioremediation start-ups, disrupt the conflict cycle by achieving two strategic outcomes. First, they directly counteract the environmental scarcity stress multiplier by providing legitimate, high-value livelihoods, successfully neutralizing the economic desperation that fuels participation in oil bunkering and pipeline sabotage. Second, by creating tangible economic assets and demonstrating local capacity for ecological stewardship, these ventures transform young people from mere victims or perpetrators into legitimate stakeholders. This elevation provides a constructive platform for peace advocacy and formalized dialogue with international oil companies (IOCs) and environmental protection agencies (EPAs), strengthening non-violent conflict resolution pathways and rebuilding a critical measure of institutional trust. The paper concludes that sustained peace in the Niger Delta requires a fundamental shift in green security governance frameworks. Governments and development partners must transition from reactive amnesty programmes to proactive, large-scale investment in and integration of youth eco-innovation. Government can effectively address the root causes of grievance and establish a foundation for long-term human and environmental security when priority is given to ecological livelihoods.